Skip to comments.INDIANA SMOKERS' CONTRIBUTIONS TO THE STATE ECONOMY - 2001
Posted on 08/07/2002 3:38:35 PM PDT by SheLion
Indiana smokers comprise only 27% of the adult population in the state. Here is what they already pay because they choose to buy a legal product:
Smokers Pay Excise Taxes
Smokers Pay Sales Taxes
Smokers Pay Tobacco Settlement Payments
total $ 352,094,325
Smokers Economic/Tax Profile
Smokers median income 2000
$ 35,103 Annual state income tax liability for a couple
Annual state income tax liability for a couple with two children
$ 1,023 Smoker Excise Tax/Sales Tax/Tobacco Settlement Payments Liability
Total average paid per Indiana smoker in excise and sales taxes
Price per Indiana smoker for settlement payments to Indiana
Total annual payment to Indiana per smoker
Indiana Smoker Facts
Indiana smoker payments are 7.5 times larger than state excise taxes on alcoholic beverages of $46.2 million.
Indiana smoker payments were more than half (53%) as large as Indiana corporate net income tax revenues of $657.5 million in 2001.
Indiana smoker payments were larger than FY2000 revenues for Hoosier Lottery ($113.2 million) and riverboat gambling ($246.1 million).
Indiana smoker taxes could supply all the funds the state spent in 2001 on:
Law enforcement patrol ($106.7 million)
Emergency management and public safety ($35.3 million)
Adult education ($24 million); community development ($55.7)
Undergraduate education at Indiana University ($321 million).
In 1997, smokers supported 15,711 jobs that paid an additional $14,386,550 in state and local personal income and corporate taxes.
CIGARETTES DONT PAY TAXES INDIANA SMOKERS DO!!
Indiana Data Sources
Total packs sold = 740,965,000 (Orzechowski & Walker from Indiana Department of Revenue).
Excise taxes paid derived by multiplying total packs sold in Indiana by excise tax per pack ($.15½).
Sales taxes paid derived by multiplying packs sold by sales tax rate (5% or $.15 per pack).
Settlement payment amount from Campaign for Tobacco Free Kids.
Number of smokers (1,216,523)= Census Bureau 2000 Indiana 18+ population (4,505,639) multiplied by CDCs 2000 percent of adults who are smokers (27%).
Total paid per smoker excise & sales taxes = total excise and sales taxes paid ($225,994,325) divided by number of smokers (1,216,523).
Total paid per smoker for settlement payments = settlement payments amount divided by number of smokers.
Smokers median income per CDCs Behavioral Risk Factor Surveillance System 2000, public use data.
State annual income tax liability from PayBreeze software of General Programming, Inc., San Jose, California, which utilizes the Exact Calculation Method.
Indiana smoker facts from Indiana State Budget Agency, FY2000 Distribution of Lottery and Gaming Surplus Account Funds and Riverboat Admissions and Wagering Taxes and Indiana State Budget Agency, 2001 Indiana Budget Program Book. Both are online at www.in.gov/sba/stateinformation.
Jobs created and personal/corporate income tax paid from Economic Impact of Tobacco 1997.
But there's MORE states I have yet to do. ~whew
I think it's time to buy all our smokes from the Indians
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